Montecfo
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
We have large traditional IRA's at about 60 percent of our portfolio. In our early 60s so we do not really have time to make a big dent in those.
But we also have large capital gains in the taxable account that im going to need to recognize soon. Holding these until my passing and avoiding the tax altogether is not an option for these particular stock holdings.
My view is that that the tax margin on capital gains (0 versus 15 pct) represents the greatest tax benefit available to me for any income. It is meaningfully better than say a 12 versus 22 pct rate on Roth conversions. And there is the added benefit that the gain in terms of lower taxes om LTCGs is realized right now, not beginning 10 years from now and over my lifetime as is the case with Roth conversions.
I'm sure many folks have confronted this and I am curious if there are differing views and reasoning.
Thanks in advance.
But we also have large capital gains in the taxable account that im going to need to recognize soon. Holding these until my passing and avoiding the tax altogether is not an option for these particular stock holdings.
My view is that that the tax margin on capital gains (0 versus 15 pct) represents the greatest tax benefit available to me for any income. It is meaningfully better than say a 12 versus 22 pct rate on Roth conversions. And there is the added benefit that the gain in terms of lower taxes om LTCGs is realized right now, not beginning 10 years from now and over my lifetime as is the case with Roth conversions.
I'm sure many folks have confronted this and I am curious if there are differing views and reasoning.
Thanks in advance.